Key Facts for Non-Residents (February 2026)
Can Foreigners Get Spanish Mortgages?
Yes. Spanish banks actively lend to foreign nationals, including non-residents. Whether you're from the UK, EU, USA, or elsewhere, you can obtain financing for your Spanish property purchase.
However, conditions differ from what you might be used to at home:
- Lower LTV ratios – expect to put down 30-40% deposit
- More documentation – banks want proof of stable income
- Stricter affordability checks – monthly payment typically max 30-35% of income
- Higher rates than residents – though still competitive
Loan-to-Value (LTV) Limits
| Buyer Type | Maximum LTV | Min. Deposit |
|---|---|---|
| Spanish Resident | 80% | 20% |
| EU/EEA Non-Resident | 70% | 30% |
| UK Non-Resident (post-Brexit) | 60-70% | 30-40% |
| Other Non-EU (USA, Canada, etc.) | 60-70% | 30-40% |
Note: LTV is based on the lower of purchase price or bank valuation. If the bank values your property lower than the price, your effective LTV decreases.
Interest Rates in 2025
Spanish mortgage rates have risen with ECB rate increases but remain competitive. You'll typically choose between:
Fixed Rate (Tipo Fijo)
- Rate stays the same for entire term
- Current range: 3.5% - 4.5%
- Popular choice for budget certainty
Variable Rate (Tipo Variable)
- Based on Euribor + bank margin
- Current range: Euribor + 1% to 2%
- Lower initially but can increase
Mixed Rate (Tipo Mixto)
- Fixed for first 3-10 years, then variable
- Good compromise option
Current Euribor:
12-month Euribor (used by most Spanish banks) fluctuates. Check current rates when applying. As of late 2024, it's around 2.5-3%.
Documents Required
Employed Applicants:
- ✓Valid passport (copy of all pages)
- ✓NIE number
- ✓Last 2-3 years tax returns
- ✓Last 3-6 months payslips
- ✓Employment contract or letter from employer
- ✓Last 3-6 months bank statements
- ✓Proof of deposit funds
- ✓Details of existing debts/mortgages
Self-Employed Applicants:
- ✓All above documents, plus:
- ✓Last 2-3 years business accounts
- ✓Business tax returns (SA302 for UK)
- ✓Accountant's reference letter
Major Spanish Banks for Mortgages
Banco Sabadell
Popular with international buyers. English-speaking advisors available. Strong presence in Costa Blanca.
CaixaBank
Spain's largest bank. Wide branch network. Offers non-resident mortgages through specialist departments.
Santander
International bank with presence in UK. Can sometimes use UK income verification.
BBVA
Major Spanish bank. Offers competitive rates. English service available in tourist areas.
The Mortgage Application Process
Initial Consultation & Pre-Approval
Submit basic financial information. Bank provides an indicative offer showing how much you could borrow. Not binding but useful for budgeting.
Timeline: 1-2 weeks
Full Application
Once you've found a property and signed reservation, submit complete documentation. Bank reviews your application in detail.
Timeline: 2-4 weeks
Property Valuation
Bank arranges independent valuation (tasación). You pay for this (€300-500). LTV is based on this figure.
Timeline: 1-2 weeks
Formal Offer (Oferta Vinculante)
Bank issues binding offer detailing loan amount, rate, term, and all conditions. Valid for minimum 10 days by law.
Timeline: 1 week
Completion at Notary
Sign mortgage deed same day as property purchase. Bank representative attends. Funds transferred same day.
Timeline: Coordinated with purchase completion
Total Timeline:
Allow 6-10 weeks from full application to completion. Start early – don't wait until just before your purchase deadline.
Mortgage Setup Costs
| Valuation (Tasación) | €300 - €500 |
| Arrangement fee (some banks) | 0 - 1% |
| Notary (mortgage deed) | €500 - €800 |
| AJD Tax on mortgage | Paid by bank* |
| Life insurance (often required) | Varies |
*Since 2019, banks pay the AJD stamp duty on mortgages, not borrowers.
Tips for Success
Get pre-approval early
Know your budget before you start property hunting. Pre-approval strengthens your negotiating position.
Use a mortgage broker
Brokers specializing in non-resident mortgages know which banks work best for your situation and can negotiate better rates.
Keep documents ready
Have all paperwork translated into Spanish. Incomplete documentation is the main cause of delays.
Budget conservatively
Don't stretch to the maximum. Remember ongoing costs, currency fluctuations, and potential rate increases.
Need Help with Financing?
We partner with Habeno, a mortgage aggregator specializing in non-resident financing. They compare offers from multiple Spanish banks to find you the best rates and terms.